From the Co preso you know you have two massive sulphide hits (up dip and down dip). The market will have these factored in. The important thing is how far that high grade shoot extends along strike to the east.
There was also comments made a week or two back that Conductors 3 & 4 were the strongest targets and this was the case when they first reported the FLEM targets, however the company then ranked and prioritised them so 3 & 4 became conductor plate 1. Hence these results were in fact coming from the strongest conductor.
This is not a uniform type deposit. More a series of high grade thin shoots. If there is enough of them, near enough to surface it will be economical to mine. Hence strike lenght is important.
What is more exciting is the results of the FLEM over the much larger magnetic targets in the corridor. If they light up on the FLEM, given the simple geological model and confidence in it, then we may have some big finds. Some of those other targets make HOB look puny. Understanding the geology with confidence is the key here as the chances of larger finds under cover increase exponentially.
I took the conservative approach of taking profit and maintaining a more comfortable position. However if it comes off on these drill results ill look to top up again.
KDR Price at posting:
67.0¢ Sentiment: LT Buy Disclosure: Held
